Kara Swisher Asks Scott Galloway the Ultimate Question at SXSW | Pivot

1. 0:00 – 7:14

   Intro

   1. SGScott Galloway0:01

      Woo.

   2. KSKara Swisher0:02

      Come on, I know it's there.

   3. SGScott Galloway0:05

      All right. Who wants to have a child? All the way in the back?

   4. ABAudience member (David from Boston)0:11

      (laughs) Woo-hoo.

   5. KSKara Swisher0:14

      Oh. It doesn't...

   6. SGScott Galloway0:18

      That's right, ladies.

   7. KSKara Swisher0:19

      (laughs) You can't-

   8. SGScott Galloway0:21

      If this is wrong, you don't wanna be right.

   9. KSKara Swisher0:22

      I just wanna say, I think E-... You... Elon copied you, it looks like.

   10. SGScott Galloway0:26

       Surrender to the dog. I don't know any of these things.

   11. KSKara Swisher0:30

       (laughs) Sit down. Hi, everyone. This is Pivot from New York Magazine and the Vox Media Podcast Network.

   12. ABAudience member (David from Boston)0:44

       (cheering) (clapping)

   13. KSKara Swisher0:45

       Uh, I'm Kara Swisher. This is a live broadcast. We, as we said, we were gonna do it here. We're very excited. We always have a great time at South by Southwest. How is your South by Southwest, Scott?

   14. SGScott Galloway0:56

       I love it here. Uh, the people are friendly.

   15. KSKara Swisher0:57

       Oh, you wanna say, "Hi, I'm Scott Galloway"? Go ahead.

   16. SGScott Galloway0:59

       Um, I'm Scott Galloway.

   17. KSKara Swisher1:01

       Okay.

   18. ABAudience member (David from Boston)1:02

       (laughs) (clapping)

   19. SGScott Galloway1:02

       By the way, 9:00 AM on Sunday of daylight saving, what the fuck are you thinking?

   20. KSKara Swisher1:07

       Yeah, I know.

   21. ABAudience member (David from Boston)1:08

       (laughs)

   22. KSKara Swisher1:08

       I know, I agree.

   23. SGScott Galloway1:08

       It's like a, it's like a dog whistle for Mormons or people with no life.

   24. KSKara Swisher1:12

       Yes, it's true.

   25. SGScott Galloway1:13

       What are you doing... Literally, this is a negative forward-looking indicator of your social options.

   26. ABAudience member (David from Boston)1:17

       (laughs)

   27. KSKara Swisher1:18

       Well, what the fuck are you doing here? (laughs)

   28. SGScott Galloway1:21

       I have to be here.

   29. KSKara Swisher1:21

       Why did they schedule us at 10:00? That's what I was thinking.

   30. SGScott Galloway1:23

       Is, like, Doge in charge of this shit? What is going on?
2. 7:14 – 19:15

   Elon’s Businesses

   1. KSKara Swisher7:14

      of things. Following the news that Trump is reining in Elon Musk, neither of us believe this, and Doge, let's talk about how Elon's actual businesses are doing as he dabbles in government. SpaceX's largest Starship exploded this past week during a test flight. This is the second time it's happened. He does blow up a lot of rockets. Tesla's sales and stock price are down, and the company is at risk of bleeding cash. Is this business mishaps happening because of his role in government or in spite of it? What, how do you look at these? Because the bi-... And then Starlink, which may or may not go public, we'll talk about that in a minute-

   2. SGScott Galloway7:45

      Yeah.

   3. KSKara Swisher7:45

      ... um, has seen competition from China, from Jeff Bezos, from all kinds of stuff. What's happening here?

   4. SGScott Galloway7:52

      Well, I think it's a tale of two, two cities here. And that is, uh, Tesla is, is crashing in the sense that... I mean, you've heard. So I'm doing breakfast with the Nike people tomorrow. Nike went political with their embrace of Colin Kaepernick, but they did the math, and that is two-thirds of Nike's sales are outside of the U.S., and no one outside of the U.S. thinks the U.S. has got race relations, uh, right. Two-thirds and probably, of their revenue, and probably 70% or 80% of their profits come from people under the age of 30. They also have a huge customer base in non-whites. So essentially, the people who burned their Nikes after they endorsed Nike, that was probably their first pair of Nikes. And that is, they knew that their core audience would probably feel very good about that move. As smart as that was, Tes- uh, Musk's political forays or adventures are that stupid, because 75% of Republicans say they would never buy EV. He's gone very red pill. In California, his biggest market, EV sales for Tesla are down dramatically. And even after this crash in sales in Europe, if you look at the company, it's got off... It's lost about a third of its value in February. It's lost all of its kind of Trump bump gains. If you look at it from a valuation perspective, Apple only grew 2% last year, but it trades at a 38 times earnings multiple. Amazon grew 10%, 38 times PE. Nvidia grew about 114% and it has a P multiple of 40. Tesla grew 1%. Tesla's flat and it has a price earnings multiple of 144. So Tesla is still, uh, even after shedding a third of its value, is the most overvalued company in tech, maybe the exception of Palantir, and it, the sales are just not... It's crashing. His political calculus as it relates to Tesla was just irrational. Now, to be fair-

   5. KSKara Swisher9:51

      Mm-hmm.

   6. SGScott Galloway9:51

      ... SpaceX and, and, and, um, uh, the, the, the value proposition-

   7. KSKara Swisher9:58

      SpaceX, yeah. Yeah.

   8. SGScott Galloway9:58

      ... of SpaceX is that rockets blow up.

   9. KSKara Swisher10:01

      Mm-hmm.

   10. SGScott Galloway10:01

       And that is, they can take risks that NASA and the government can't.

   11. KSKara Swisher10:04

       Right,

   12. AMAudience member10:04

       Which I've noticed, yeah.

   13. SGScott Galloway10:04

       And 99% of their launches are successful. They're responsible for about 78% of the launches right now. The Falcon Heavy rocket can get shit into the air, into orbit for $1,500 a kilogram. The next best is a Russian company called Angara that can do it at three times the cost. So their ability to take those sorts of risks and put shit into space for a third of the price of the second best per kilogram launch vehicle, I think SpaceX is gonna be worth more than Tesla in 2025.

   14. KSKara Swisher10:36

       Right, but, but taking your eye off the ball, because there are now competitors, there's gonna be m- m- increasing amounts of competitors, will the same thing happen? Is this political calculation a good one for him? I- because they're, they may use Starlink at the FAA. They may use...

   15. SGScott Galloway10:52

       Well, okay, so-

   16. KSKara Swisher10:53

       They were buying Cybertrucks for some reason for the State Department.

   17. SGScott Galloway10:56

       The, I, I think more than trying to increase revenues, it's trying to clear out obstacles. So there are 11 federal agencies that, uh, have 32 investigations currently underway-

   18. KSKara Swisher11:05

       Mm-hmm.

   19. SGScott Galloway11:05

       ... uh, for different Musk companies. And a lot of those inspectors and people seem to be getting the ax. So I don't think his, his foray into government is about trying to increase revenues. I think it's about trying to clear out the inspectors and potential regulation. But it doesn't look like the calculus is very smart here.

   20. KSKara Swisher11:22

       Mm-hmm.

   21. SGScott Galloway11:22

       Like David Sacks getting involved in crypto and then getting Trump to have dinner with the guy from Ripple who probably promised him money, and then all of a sudden deciding to, to include Ripple in the strategic Bitcoin reserve... By the way, there's nothing fucking stra- strategic about that. And then all of a sudden, Ripple rips? That's pure... That's smart political kleptocracy corruption, but at least that's smart. His political forays so far-

   22. KSKara Swisher11:46

       Yeah.

   23. SGScott Galloway11:46

       ... I don't think are paying off for him.

   24. KSKara Swisher11:47

       You don't think so. But when he, um... What will happen then to Tesla from your perspective? Uh, just a downward slide of the... I mean, they have to obviously update the cars. They're talking about, uh, self-driving, full self-driving. They're talking about-... robotaxis, which already are in effect here with Waymo for years actually.

   25. SGScott Galloway12:07

       Yeah, but you said it, W- Waymo's just light years ahead of him.

   26. KSKara Swisher12:09

       Yeah.

   27. SGScott Galloway12:10

       And i- if, if Tesla... If Tesla starts trading like a regular automobile company in terms of price to earnings, it would be at 14 bucks a share. It's just impossible to, to rationalize a valuation. I still think it's a really good car. I think, uh, you know, it, it... I can't help it. I got a Tesla on my Uber app. I cancel or I let them wait outside. I know that's wrong. Um-

   28. AMAudience member12:32

       (laughs)

   29. SGScott Galloway12:32

       ... but it- it is a good car, it's a great company. It should trade at a multiple of 50 to 100% more than the other car companies, meaning it's a $25 or a $30 stock.

   30. KSKara Swisher12:42

       So where's the benefit for him in this kleptocracy you speak of?
3. 19:15 – 25:02

   Companies Moving to Texas

   1. KSKara Swisher19:15

      about-

   2. AMAudience member19:15

      (laughs)

   3. KSKara Swisher19:15

      ... how, uh, Elon is influencing the business world by moving his Texas h- here to Texas. He's not the first to do it. Now Chevron, KFC, and Meta are talking about putting their HQs here. The governor of Delaware, uh, where most Fortune 500 companies are incorporated, is now scrambling to keep companies there. You, you and I have talked about that. I mean, uh, do people, um... I- is this a... You have talked about being a good thing, because Texas is more business-friendly versus other places. I assume other states will try to do the same thing. Wyoming, I know, is, is doing that, Nevada. There's certain states that are doing that. Do you think Delaware is over as a place to do business?

   4. SGScott Galloway19:54

      No, Delaware is traditionally seen as very corporate-friendly-

   5. KSKara Swisher19:56

      Right. Yeah.

   6. SGScott Galloway19:57

      ... especially in they are efficient around their Chancery Court and the way they decide stuff. I, I, I don't think you can be for competition and ask big tech to break up and not support competition among states.

   7. KSKara Swisher20:07

      Mm-hmm.

   8. SGScott Galloway20:08

      I think the thing that's gonna incent California to get its shit together is a lot of people are leaving for Texas-

   9. KSKara Swisher20:13

      Mm-hmm.

   10. SGScott Galloway20:13

       ... because they do... The three greatest arbitrages available, uh, I, I think, in economic history are, one, the arbitrage from fossil fuels to things that build everything from this to, you know, the tennis shoes you have probably have petroleum in 'em. Second is to find young, ambitious people who will work as hard or harder, 'cause they don't have dogs and kids, and will be 80% or 90% as good as the person who's been with your company 20 years, but because they're naive and can live in a 300-square-foot apartment, you only have to pay them 30% or 40% as much. The most successful companies in the world participate in the arbitrage of young people who don't know any better, right? Those are your most valuable employees, is the over-educated, really hardworking 25-year-old that you pay 80 grand instead of 250 grand to the 40-year-old who has kids. The other big arbitrage right now economically in the United States is state arbitrage, and that is people who d- basically say, "Okay..." And I did this. In 2010, I got my m- my son was denied, he's doing great now, 'cause he was speech delayed when he was four, from seven out of seven schools that wanted to charge us $58,000 a year for him to play with blocks. We moved to Flo-

   11. KSKara Swisher21:18

       (laughs) .

   12. SGScott Galloway21:18

       We moved to Florida, and the school there, a lovely little school, was $12,000. So the geographic arbitrage that's taking place across America, where people are moving to lower-cost, higher-quality-of-living states, like Texas and Florida, is a great thing. So companies coming here, I think, is a good thing. I think it's important. What's weird is Meta, Chevron, and KFC, so carbon, teen depression, and diabetes.

   13. KSKara Swisher21:42

       Yeah.

   14. AMAudience member21:43

       (laughs)

   15. KSKara Swisher21:45

       Would you move to Texas? It's a little hot.

   16. SGScott Galloway21:47

       I c- I would, I w-

   17. KSKara Swisher21:47

       Fl- Florida hasn't worked out as well. The whole Miami Tech thing is sort of a bust right now.

   18. SGScott Galloway21:51

       Yeah, it's a good quality of life though.

   19. KSKara Swisher21:53

       Yeah.

   20. SGScott Galloway21:53

       It's a really nice quality of life. I could see-

   21. KSKara Swisher21:55

       I understand, but that ha- didn't take off.

   22. SGScott Galloway21:56

       ... I could see living here.

   23. KSKara Swisher21:57

       Yeah.

   24. SGScott Galloway21:57

       Would... Y- you could... Don't you think you could live there? This seems pretty nice.

   25. KSKara Swisher22:00

       No.

   26. SGScott Galloway22:01

       No?

   27. KSKara Swisher22:01

       No.

   28. AMAudience member22:01

       (laughs)

   29. SGScott Galloway22:02

       Austin?

   30. KSKara Swisher22:03

       They don't like the gays. They- (laughs)
4. 25:02 – 26:00

   Kara Asks Scott "The Question"

   1. KSKara Swisher25:02

   2. SGScott Galloway25:02

      That's what I get.

   3. KSKara Swisher25:02

      Do you think we'll ever have sex?

   4. SGScott Galloway25:03

      The two of us?

   5. KSKara Swisher25:04

      Yeah. Just curious. (laughs)

   6. SGScott Galloway25:07

      I'm down as lo- I'm down as long as I don't have to be there.

   7. KSKara Swisher25:10

      Okay. (laughs)

   8. SGScott Galloway25:12

      Um...

   9. KSKara Swisher25:12

      That would be so weird, I was just thinking.

   10. SGScott Galloway25:13

       Oh, God. You don't know what it takes to get me going now, Kara.

   11. KSKara Swisher25:16

       Yeah.

   12. SGScott Galloway25:17

       It's a, it's a Pam Grier film. A eight ball of cocaine and a cattle prod up my ass, and then it's go time. It's go time for a good 90 seconds.

   13. KSKara Swisher25:27

       Oh, I'm just thinking about that.

   14. SGScott Galloway25:28

       And then, and then when I climax, I scream out, "Surrender, Dorothy!" Or my favorite-

   15. KSKara Swisher25:36

       What?

   16. SGScott Galloway25:36

       ... from Wicked-

   17. KSKara Swisher25:37

       Okay.

   18. SGScott Galloway25:37

       ... "I'm melting."

   19. KSKara Swisher25:38

       (laughs)

   20. SGScott Galloway25:39

       How did we get here?

   21. KSKara Swisher25:40

       You probably could-

   22. SGScott Galloway25:40

       Get us out of this.

   23. KSKara Swisher25:41

       No, I'm just curious.

   24. SGScott Galloway25:42

       Get us out of this now.

   25. KSKara Swisher25:43

       You probably could try. I've never thought about having sex with you, just so you know.

   26. SGScott Galloway25:46

       Yeah.

   27. KSKara Swisher25:47

       Anyway.

   28. SGScott Galloway25:47

       Which is why you brought it up.

   29. KSKara Swisher25:48

       Yeah, I'm just...

   30. SGScott Galloway25:49

       Yeah.
5. 26:00 – 33:17

   Trump's Crypto Plans

   1. KSKara Swisher26:00

      Now we're back. Okay.

   2. SGScott Galloway26:01

      Ugh.

   3. KSKara Swisher26:01

      President Trump held the first ever crypto summit at the White House. Crypto experts, lawmakers, administration officials gathered as Trump declared a war on cryptos over. Uh, a day earlier, Trump signed an executive order creating a strategic Bitcoin reserve and separate digital asset stockpile. The reserve will be established with Bitcoin that has been seized from federal law enforcement, I don't know how much that is, during Trump's second term. The SEC had already closed several investigations, uh, in, into cryptocurrency firms. Sam Bankman-Fried, if you saw him on Tucker Carlson the other day.

   4. SGScott Galloway26:31

      I didn't.

   5. KSKara Swisher26:32

      Uh, he's hoping to get in on that forgiveness. Uh, the disgraced FDX founder's reportedly been campaigning for a pardon from President Trump. I bet he gets it. Um, what do you think of, of the reserve and, and will you be thinking about more crypto investments now that this is happening? Um, you and I have been sort of in and out on whether crypto is good.

   6. SGScott Galloway26:53

      Yeah.

   7. KSKara Swisher26:53

      I've... I ultimately think it's probably more, uh, some of it's okay, some of it isn't. Some of the people in crypto find this disturbing, what, the way they're doing this, in the way they found the Biden administration to be too, uh, difficult in terms of rolling things out.

   8. SGScott Galloway27:10

      So this is essentially just pure pay for play.

   9. KSKara Swisher27:13

      Yeah.

   10. SGScott Galloway27:13

       And, and Republicans would argue that okay, we're just more transparent about it. But c- the crypto community gave $285 million to the Trump campaign. And what do you know? He's decided to have a quote unquote strategic Bitcoin reserve. It makes absolutely no sense. You have a strategic petroleum reserve, and it is strategic, because if there's a war or our supply chain of fossil fuels gets cut off, we don't want our economy to come to a halt if we need to build tanks or just keep the economy open, so we have a strategic reserve.

   11. KSKara Swisher27:41

       Right.

   12. SGScott Galloway27:42

       What's gonna happen if we run out of Bitcoin? Like how is that a defense threat? Like...

   13. KSKara Swisher27:46

       No.

   14. SGScott Galloway27:46

       So there's nothing strategic about it. What it is is the following. You give me $285 million. So I'm gonna increase the deficit. I mean, when we seize assets, when the FBI seizes assets, they immediately sell them 'cause they don't want to be in the business of owning boats or Bitcoin or whatever. That's not their job. They're not hedge fund managers. If you have a nation that's creating more revenue than you're spending, then you ha- a sovereign fund that tries to find alpha.

   15. KSKara Swisher28:10

       Which they're also trying to do, a sovereign fund. He's talked about that.

   16. SGScott Galloway28:13

       But...

   17. KSKara Swisher28:14

       Why?

   18. SGScott Galloway28:15

       We don't need a sovereign... We, we need higher taxes and lower spending. We don't have any additional money 'cause then you're saying the government is better at allocating investment capital than the investment community. And by the way, all this is, again, another increase in a deficit to transfer wealth to his .1%ers such that you can own a little bit of Bitcoin. Here's a crazy idea. Go buy your own fucking Bitcoin. I mean, it just... This makes no sense whatsoever. This is pure you give me $285 million so I'm gonna come up with a bunch of jazz hands around why we should have a strategic reserve. And by the way, there's a negative implication. Bitcoin is terrible for the United States strategically, because one, the, the, the biggest, baddest carrier strike force in our arsenal is an invisible one called the US dollar. And when we put sanctions on a country, it has teeth 'cause we can stop them from trading in dollars which makes it very hard for them to do business globally. So if you're gonna create another global reserve currency, all you are doing is attacking our aircraft carrier squadron called the dollar. So this is not only kleptocracy and pay for play and make no sense, it's actually damaging to the underlying strength of America because it's diminishing the dollar.

   19. KSKara Swisher29:27

       So, so what should they do? Because a lot of people felt the Biden administration had been hostile, especially Gary Gensler, who you and I have both talked to.

   20. SGScott Galloway29:34

       Yeah.

   21. KSKara Swisher29:34

       Um, that they had been hostile to the development of it, trying to overregulate it. I do understand why their inclination is to regulate it, 'cause it's currency. It does affect other parts of the economy.

   22. SGScott Galloway29:46

       It's a legi- it's... Bitcoin has established... First off, I don't think you can talk about Bitcoin in the same breath as the other ones.

   23. KSKara Swisher29:52

       Mm-hmm.

   24. SGScott Galloway29:52

       Bitcoin has established itself as a credible store of value because the genius of Bitcoin is they've created this algorithm or this methodology where you have to constantly throw numbers to unlock or mine Bitcoin. And people now believe, the market now believes, that they're gonna stop minting at 21 million. So Bitcoin is increasing less fast than gold reserves, than we're printing US dollars. So the market says this is a legitimate store of value. That is an asset class. What's to stop anyone at DOGE or Ripple or ETH from massively increasing the supply? There... It's supposed to be one of three things. It's supposed to be a payment mechanism.... no one's using this shit-

   25. KSKara Swisher30:33

       Yeah.

   26. SGScott Galloway30:33

       ... for payments. It's supposed to have utility. You could argue Eth and some of 'em, maybe they make payments, maybe other stable coins go on their techni- But for the most part, there's no real utility here, folks. It's not like dentists use Bitcoin to fill your cavities. There's just, there's no real utility. What it could be is a store of value. And one of them, in my view, has created a store of value, and that is a legitimate store of value, and that's Bitcoin. Other than that, it's pure speculation, which is fun. But the notion that we're gonna get involved, you're about to see, in 36 months, you're gonna see a raft of stories about crypto scams that happened between now and the next 36 months.

   27. KSKara Swisher31:13

       Yeah.

   28. SGScott Galloway31:13

       'Cause you could make an argument that it was being over-regulated or there was a lack of regulation which created insecurity.

   29. KSKara Swisher31:19

       Mm-hmm.

   30. SGScott Galloway31:19

       Like, b- people, I think Brian Armstrong will fairly say, "Just tell us what the rules are and we'll comply."
6. 33:17 – 38:58

   IPO Predictions

   1. KSKara Swisher33:17

      All right, Scott, we're back with our next big story. (laughs) (audience laughing) You won't take a shot. I have-

   2. SGScott Galloway33:22

      Oh.

   3. KSKara Swisher33:23

      ... liquor for you. Uh-

   4. SGScott Galloway33:24

      That's why she makes the big bucks.

   5. KSKara Swisher33:25

      Let's (laughs) , let's... I do, I make the big bucks. Um, we're back with our next big story. Let's talk very quickly about IPOs, 'cause I wanna get to l- uh, questions from the audience. I want you to be brief here, I know it's difficult for you. Um, 2025 is expected to be a big year for IPOs thanks to Trump and his pro-business, anti-regulation administration. But with tariff whiplash, regulatory changes, inflation concerns out there, we're not seeing an IPO just yet. Although StubHub and Discord are reportedly getting ready to dip their toes in the waters. Uh, some other long rumored is Shein, OpenAI, and SpaceX. Uh, what, what is the... Is it a good time to go public? Uh, it doesn't seem like there haven't, have been any. Um, Shein, for example, is facing some headwinds with Trump, uh, ending the, the de minimis loophole that allows them to ship cheap goods from China to the US without paying taxes and import duties. What, what are, where is the IPO market, briefly?

   6. SGScott Galloway34:16

      It's the, it's kind of the walking dead. In 2021, there were 1,000 IPOs that raised $280 billion. Last year, there were 150 IPOs that raised 30 billion. And the IPO market is just literally dead. It's, it hasn't been this bad for this long in a long time. And we keep hoping something is gonna set the starting gun for it again. And I thought it was gonna... I got this wrong. I thought Reddit was gonna ignite the market, and it hasn't. The IPO, the IPO market-

   7. KSKara Swisher34:47

      Yeah.

   8. SGScott Galloway34:47

      ... is still really dormant, real- it's just very, um, cold. Uh, uh, terrible.

   9. KSKara Swisher34:53

      And, and will it come back with any of these?

   10. SGScott Galloway34:55

       Well-

   11. KSKara Swisher34:55

       Some of these are promising companies, obviously.

   12. SGScott Galloway34:58

       You would think but (sighs) I mean, is this a cyclical thing or is it structural? Because it used to be you couldn't get these types of valuations unless you tapped into deep institutional capital. But now that institutional capital has moved into the private markets, and when OpenAI can raise money at a $300 billion market cap-

   13. KSKara Swisher35:17

       Right.

   14. SGScott Galloway35:17

       ... which creates a greater value than 90% of public companies, and you have op- you have opportunities or access to liquidity-

   15. KSKara Swisher35:24

       Anthropic was 60 billion, so you-

   16. SGScott Galloway35:26

       ... secondary markets. Uh, is that right?

   17. KSKara Swisher35:28

       Something like, somewhere maybe high-

   18. SGScott Galloway35:28

       40 to 60? But the point is, do we need the public markets? The problem is, is that yet again, we are sequestering the majority of the upside of our prosperity to the private markets that consist mostly of 0.1%ers and institutional investors. The people who got to invest in Google, you know, retail investors, have done exceptionally well. Same as Apple. The problem is institutional money figured out, "Why are we giving away these gains to the retail market? We can capture them privately and offer employees liquidity and have less regulation." So unfortunately right now, the retail markets have become the last stop when you can't find private investors to take your valuation up. And most of the margin, most of the juice is gets, gets squeezed out. So yet again, the IPO market is another indication of the fact that we're cramming all the prosperity into a small number of institutions.

   19. KSKara Swisher36:18

       There's also been lack of interest in being public. In being, uh, it's not-

   20. SGScott Galloway36:22

       'Cause of regulation.

   21. KSKara Swisher36:22

       It's not the thing you want anymore 'cause of regulation, because of public facing, uh, things. I see, I bet a lot of these companies may go private. Do you ever see one of the very big companies going private?

   22. SGScott Galloway36:32

       Eh, that, that is an excellent point. If you look at-... a- and some of the fallen angels, and you look at the amount of money, capital sitting on the sidelines in private equity, it's over four trillion dollars of capital waiting to be deployed, I think we're going to see... I did my predictions deck yesterday. I think we're going to see the biggest take private in history this year.

   23. KSKara Swisher36:48

       With?

   24. SGScott Galloway36:48

       And it'll be, in my opinion, my three favorite targets are Intel, which is arguably the worst managed company in tech over the last 20 years. I mean, it's one thing when your stock goes into the shitter, when your company's in structural decline, right? Warner Brothers Discovery, they can claim, "We're facing headwinds." Intel has literally been in the best business in the world for the last 30 years.

   25. KSKara Swisher37:07

       Yeah.

   26. SGScott Galloway37:08

       And they-

   27. KSKara Swisher37:08

       They missed every turn.

   28. SGScott Galloway37:09

       ... have been one of the worst performing stocks. Someone might step up... I think it's got a 70 or $80 billion... someone might step up and go there. The two others I like are Boeing.

   29. KSKara Swisher37:16

       Mm-hmm.

   30. SGScott Galloway37:17

       And the third is Target. Big, big outstanding brands, decent management, great businesses. And the opportunity to get them... You know, they're fallen angels. They're on sale right now. And there's so much money, I think there could be a club deal to take one of those companies private.
7. 38:58 – 1:02:37

   Q&A

   1. SGScott Galloway38:58

   2. KSKara Swisher38:58

      Yeah.

   3. SGScott Galloway38:58

      All right. Hello. I'm Malcolm. Uh-

   4. KSKara Swisher38:59

      Okay, start here.

   5. SGScott Galloway39:01

      Uh, my question is, how do you guys go about avoiding audience capture and making sure you're not just going over the same points over and over again because it's what your audiences come to expect from you?

   6. KSKara Swisher39:13

      M- meaning? I don't even know what that means, but go ahead.

   7. AMAudience member39:15

      (laughing)

   8. SGScott Galloway39:15

      So like certain people like Joe Rogan and other podcasters have kind of gotten into a silo where they only talk about a certain topic because that's what their audience-

   9. KSKara Swisher39:23

      Yeah.

   10. SGScott Galloway39:23

       ... comes to expect from them.

   11. KSKara Swisher39:24

       Yeah.

   12. SGScott Galloway39:25

       How do you guys avoid that?

   13. KSKara Swisher39:25

       It's hard. It's actually hard. We think about it a lot, especially 'cause we have other podcasts and we're doing other things. But one of the things I think is important is actual narrative, uh, in, in stories. And I think one of the things that's attractive about our podcast is you follow us over time, right? And I notice when we talk to our, uh, our fans, when they come up to us, they like the story about us, about our relationship, not just, you know, and they like the whole story. And I think as we follow things and we learn and sort of start to analyze, it's not a bad thing necessary. Obviously some of... s- sometimes we worry about the Elon-ness of it, like at this point we get it. But I gotta tell you, we're growing. Like, it's hard to s- uh, it's like Trump, you're sort of like stuck in a situation and he, he really is consequential and so you can't ignore him. But we definitely think about how to be fresh and not repetitive. And that's hard 'cause you have to come up with new insights all the time. Scott?

   14. SGScott Galloway40:22

       Yeah. I do think, and we talked about it, I think we talk about politics too much. Uh, and I think a lot of people came in expecting us to talk about tech and business. And oftentimes, sometimes justifiably, but we are both passionate about politics and we both feel very invested and we get triggered by some of this stuff. But if we were purely about what I'd call purity of editorial and trying to be as appealing to as large a group as possible, which oftentimes involves not alienating 49% of the US, we would talk probably less about politics, but I don't think we can resist.

   15. KSKara Swisher40:55

       But it's hard now because they're l- really fucking in Washington, these assholes.

   16. AMAudience member40:58

       (laughing)

   17. KSKara Swisher40:59

       I mean, it's really, I always joke-

   18. SGScott Galloway41:00

       Case in point.

   19. KSKara Swisher41:01

       Yeah. I, it's hard not to... They're there, and you know, David Sacks is deciding on this idiotic crypto reserve. You've got... Like, they're all wandering... I, I live in Washington now. I moved, and then there they are at like, the top desk. And I'm like, "Fuck, how did they get here?"

   20. AMAudience member41:15

       (laughing)

   21. SGScott Galloway41:15

       Half, half, half, half the nation is right or center right. I'm center left. She's crazy fucking left.

   22. KSKara Swisher41:22

       No, I'm not. You are so much leftier than I am these days. But go ahead.

   23. SGScott Galloway41:26

       You think?

   24. KSKara Swisher41:27

       Yeah. Yeah. Really. You've become somewhat of a San Francisco lesbian, if I had to be honest.

   25. AMAudience member41:31

       (laughing)

   26. KSKara Swisher41:32

       You have gone rather left.

   27. SGScott Galloway41:33

       That's right.

   28. KSKara Swisher41:34

       You're more... I'm more-

   29. SGScott Galloway41:35

       That's right.

   30. KSKara Swisher41:35

       ... respecting the Trump people.

Episode duration: 1:02:37